MSMEs Want To Get Tax Incentives? See First The Requirements

Illustration of MSMEs (Photo: Special)

JAKARTA - Director of Counseling, Services and Public Relations at the Directorate General of Taxes at the Ministry of Finance Neilmaldrin Noor said that the government has extended the period of providing tax incentives for MSME entrepreneurs until June 30.

According to him, this policy was taken as a stimulus to increase the capital of MSMEs in carrying out their business activities.

"Indirectly, this policy also provides a stimulus by increasing the purchasing power of MSMEs," he said, Wednesday, February 17.

Neilmaldrin added that the decision to exempt from tax collection was contained in the Minister of Finance Regulation Number 9 / PMK.03 / 2021 which took effect on February 1, 2021. This provision was issued replacing PMK-86 / PMK.03 / 2020 jo PMK-110 / PMK.03 / 2020 which regulates the provision of tax incentives until December 31, 2020.

"Last year, the realization of Final Income Tax was recorded at Rp. 670 billion which was utilized by 248,275 MSMEs," he said.

The 2020 achievement was only around 62 percent of the budget ceiling that had been set by the government, which was IDR 1.08 trillion. This means that the participation of business actors is still minimal.

To overcome this, the Ministry of Finance, called Neilmaldrin, made a strategic expansion of the industrial classification coverage from 716 to 725 industries. The hope is that more lower sector exploitation will use this facility.

"To take advantage of the incentives, MSMEs do not need to submit a tax exemption certificate, just attach business realization every month through the tax.go.id site," he said.

"For those who do not deliver the realization by the time limit, which is no later than the 20th of the following month, then they cannot get the final PPh tax incentive borne by the government," he added.

"So it is required to report taxes on the 20th of each following month. For those who do not report, they cannot get tax incentives, ”concluded Neilmaldrin.